2026 prices + 30% federal tax credit
How Much Do Solar Panels Cost to Install?
Updated 24 March 2026
Calculate your exact solar installation cost based on your electric bill, state, and panel type. See your payback period and 25-year savings.
Solar Panel Cost Calculator
$
System Size
6.4 kW
Cost After Tax Credit
$11,281
Payback Period
7.4 yrs
Cost Breakdown
| Gross system cost | $16,116 |
| Federal tax credit (30%) | -$4,835 |
| Net solar cost | $11,281 |
| Total out of pocket | $11,281 |
Savings & ROI
| Annual electricity savings | $1,530/year |
| Payback period | 7.4 years |
| 25-year net savings | $26,969 |
| State incentives | Federal 30% ITC only |
The 30% federal tax credit expires 2032
The Inflation Reduction Act provides a 30% tax credit on solar installations through 2032. It drops to 26% in 2033 and 22% in 2034. Installing now maximizes your savings.
Average Solar Panel Costs by System Size
| System Size | Before Credit | After 30% Credit | Powers |
|---|---|---|---|
| 4 kW | $10,000-12,800 | $7,000-8,960 | Small home, 1-2 people |
| 6 kW | $15,000-19,200 | $10,500-13,440 | Average home, 2-3 people |
| 8 kW | $20,000-25,600 | $14,000-17,920 | Larger home, 3-4 people |
| 10 kW | $25,000-32,000 | $17,500-22,400 | Large home or EV charging |
| 12 kW | $30,000-38,400 | $21,000-26,880 | Large home + battery + EV |
Average US installation: $15,000-20,000 after tax credit
The average American home needs a 6-8 kW system. At $2.50/watt (national average), that's $15,000-20,000 before the 30% federal credit, or $10,500-14,000 after. Get at least 3 quotes - prices vary 20-40% between installers.